Sinopacific Shipbuilding Group has resolved a confrontation with subcontracted workers at Dayang Shipyard over unpaid wages, says the shipbuilder.
Due to the company’s recent equity restricting and overhaul of management procedures, the workers had experienced an unannounced delay of a few days in receiving their August pay, according to a company statement.
On 17 September, some of the subcontractors staged a rally outside the yard and accused Sinopacific of being unable to pay them, said the company.
But the rally dispersed after the company’s senior management communicated with the workers, who were paid all their arrears the following day, according to Sinopacific.
“This recent incident has raised the company’s awareness that in the current context of the shipbuilding industry, whereby growth is sluggish, there is a general concern among labour service companies and workers that wages cannot be paid as scheduled,” said the shipbuilder.
“Therefore, going forward, the company shall ensure that communication with its workforce is reinforced and that payments of workers’ wages are always carried out timely to avoid unnecessary misunderstandings.”
In the first half of 2015, Sinopacific delivered 17 vessels and achieved an output value of CNY3.25 billion (USD508.4 million).
At the end of June, the company held an orderbook of 84 vessels, 45 of them due to be delivered this year.
Sinopacific expects its output value for 2015 to rise 15% from last year.